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TSMC Reportedly Eyes Multiple Texas Fabs, Conditioned on US Tax Credit Extension
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According to sources familiar with the matter, TSMC is considering a potential investment plan to build multiple wafer fabs in the United States, but the plan is conditional on the US Congress extending the advanced manufacturing tax credit, which is set to expire at the end of this year. TSMC has already invested $265 billion in its Arizona facility. The company's North American market has contributed over 75% of its wafer revenue so far this year. Strong AI demand from clients such as Nvidia, Apple, and AMD has led to a surge in advanced process orders, causing capacity to be tight and prompting TSMC to nearly double its equipment capital expenditure over the past year. If a Texas project is finalized, each fab is expected to cost at least $20 billion. However, the plan is still in its early stages and details have not been made public.
Source report
According to sources familiar with the matter, Taiwan Semiconductor Manufacturing Co. (TSMC) is exploring a potential investment plan in Texas that would include multiple wafer fabrication plants. However, the plan is contingent upon the U.S. Congress extending the advanced manufacturing tax credit, which is set to expire at the end of this year.
TSMC has already invested $265 billion in its Arizona facility. The North American market has contributed more than 75% of the company's wafer revenue so far this year.
Driven by sustained demand for artificial intelligence, TSMC has secured a large volume of advanced process orders from key clients including Nvidia, Apple, and AMD. This has led to capacity constraints, with the company's equipment capital expenditure nearly doubling over the past year.
If the Texas project is finalized, each wafer fab is expected to cost at least $20 billion. However, the plan remains in its early stages, and details have not yet been made public. (Bloomberg)
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domesticNeutral / independent
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TSMC Considers Texas Chip Fab Expansion Tied to US Tax Credit Extension